legaltech Archives - Crunchbase News /tag/legaltech/ Data-driven reporting on private markets, startups, founders, and investors Tue, 23 Jul 2024 18:38:26 +0000 en-US hourly 1 https://wordpress.org/?v=6.8.5 /wp-content/uploads/cb_news_favicon-150x150.png legaltech Archives - Crunchbase News /tag/legaltech/ 32 32 Legal Tech Startup Clio Raises Whopping $900M At $3B Valuation /venture/canada-legal-tech-startup-unicorn-nea-clio/ Tue, 23 Jul 2024 16:53:42 +0000 /?p=89800 It’s been a big week so far for Canadian startups.

A day after Toronto-based raised a $500 million Series D at a $5.5 billion valuation, Vancouver-based legal tools platform locked up a $900 million Series F at a $3 billion valuation.

The new round was led by and included new investors , , and . Previous investors who were involved in the round included , , funds and accounts advised by Associates and by Investment Management and .

Clio’s software lets law firms automate processes such as client intake, accounting and document management. Not surprisingly, the startup also has embraced generative AI. Its Clio Duo generative AI solution helps lawyers complete routine tasks and leverage use analytics to run more efficiently. The AI platform includes audit log functionality for court discovery.

“While we’re immensely proud of our growth to date, the real opportunity lies ahead of us,” said , founder and CEO. “AI is ushering in an exciting and important new era for legaltech, and Clio is leading that transformation. There’s much to accomplish for the success of our customers so they can thrive in an economy that embraces technology in every interaction.”

Clio has grown beyond $200 million in annual recurring revenue and more than 1,100 employees.

The company last raised a $110 million Series E at a $1.6 billion valuation. Founded in 2008, the company has raised a total of $1.3 billion.

Canada’s moment

With the U.S. dominating the venture market, it can sometimes overshadow the Canadian startup ecosystem.

Not this week however, with both Cohere and Clio going huge.

In fact, Clio’s new raise is the largest by a Canadian startup ever, per Crunchbase . The round supasses Toronto-based ’s $620 million Series C that valued the cybersecurity startup at $6.8 billion.

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Legal Tech Startups Kick Off 2018 With A Fundraising Tear /startups/legal-tech-startups-kick-2018-fundraising-tear/ Fri, 09 Feb 2018 00:36:14 +0000 http://news.crunchbase.com/?post_type=news&p=12913 The law moves slowly, but legal tech startups aren’t.

In January of last year, legal tech startups  according to Crunchbase. But this year, the same group of companies have raised a touch over $49 million in just over a month’s time.

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So what’s pushing such a strong start to 2018 in legal tech? It turns out making easier is a good way to attract funding in the sector. And two startups in the niche,  and , are leading the way.

Logikcull

Founded in 2004, , Logikcull has been offering eDiscovery services for over a decade. Andy Wilson, its CEO, described his company to Crunchbase News as “the only fully featured, and entirely self-serviced, eDiscovery platform in the cloud.”

However, it wasn’t until 2015 that Logikcull looked to investors and with Storm Ventures leading the event. A year later, the eDiscovery platform Series A, adding OpenView as a lead investor. The cloud-based eDiscovery platform has found itself one step away from being a late-stage startup announced January 29th, bringing its total funding to $39 million. The round was led by New Enterprise Associates, with Storm Ventures and OpenView staying on deck.

According to a company on the raise, it took Logikcull just over two weeks to raise the new capital. How it managed to do this likely comes down to the startup’s pace of growth.

In addition to growing its customer base by 500 percent in less than a year, Wilson told Crunchbase News the startup projects it will also “hit 10 TB uploaded/day” in the next two years. Currently, the company is nearing 1 TB of data uploaded a day.

It also doesn’t hurt that the company didn’t exactly need funding to keep itself steady.

“We weren’t looking to raise money. The business was well capitalized before NEA approached us about investing,” Wilson told Crunchbase News. “We took the investment because it will help us accelerate future product development—2020 bets—Chetan, the partner at NEA, has an amazing track record of helping to take companies public, one of our long term goals.”

He also added “this bull market can’t last forever,” a comment that would prove timely given recent market behavior.

But Logikcull isn’t without its competition. We only have to go south to find it.

CS Disco

Much like Logikcull, offers software solutions to help with the eDiscovery process. CS Disco also augments its software with eDiscovery professionals, complemented by artificial intelligence the startup calls Disco AI.

The startup has for its eDiscovery solution, with its latest announced merely one day after Logikcull’s $25 million Series B. Its investors include LiveOak Venture Partners, Bessemer Venture Partners, and the Arkansas-based Stephens Group.

The company, in a , labels its Series D as “growth financing.” CS Disco intends to “double its engineering and product team to continue investing in the eDiscovery solution DISCO Review while also beginning to expand the DISCO platform beyond eDiscovery.” Bessemer Venture Partners, which led the Series D round, noted it was “thrilled to have the opportunity to double down” on its investment due to its growth.

“In 2017, we grew revenue by 2.7x overall and by more than 3.3x in the AmLaw 200 segment,” said founder and CEO Kiwi Camara in a release. “Our accelerating growth is driven by both more and more firms switching to DISCO firm-wide and the tremendous loyalty of our existing customers, who grow their business with us every year.” CS Disco claims over 400 law firms as customers.

As noted in previous reporting, many legal tech startups are still in the seed and early-stage, providing a healthy pipeline for later-stage deals. Whether CS Disco and Logikcull represent a harbinger of more deals to come for legal tech’s early-stage cohort remains to be seen.

iStockPhoto / Rost-9D

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